"i think the market may not understand", page-23

I was always 'confused' by this Contractor Development of Stage 1 by the Contractor putting up $10 million 'Finance'.

Wasn't that the 'interpretation' written here?
That there'd be no need for a Capital Raising because the Contractor was to Finance the 'easy' mining of the DSO to the tune of $10million.

I thought-What?are Mining Contractors so desperate for work they fund their own operations now?

Of course not.It had to be they were going to 'fund' on a Profit Making Capital+ Labour,machinery provide and there was Never any calculation of what a Contractor would 'charge'/ask for this 'Deal'.

Let alone who of the Major Contractors would be 'bunny'/so under employed enough to do it?
What MND?MAH?Leightons?
Who 'respectable' would Capitalise this?

So now we find it's $35 million 'seed'/capital requirement not $10mil.

IFE could have tried a Capital Raising out of Loyal Shareholders.
What 1 new for 2 held at 150?that's $35 mil + expenses,isn't it?[haven't checked mea culpa]

Anyhow the point is that you should look at the Non Take Up Rate of the Last Rights Issue at 76 cents and then consider whether a 150 rights issue would have been fully subscribed to by the 50% NON Trafford Holders?
Let alone would TRF have been able to meet it's Half?

I suggest that such a Rights Issue would have failed.Maybe only been 30/50% Filled.

So IF that is probable[Rights Issue wouldn't have 'worked']AND this Contractor Finance was some "Dream" especially for $35 mil?
Where are we?
Lot of whinging,sanctimonous squawking with a dose of heavy downramping combined with the usual 'mis reporting' by 'financial journalists'.
and back on a support line 130 ish.

[sigh]